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Pursuant to a congressional request, GAO reviewed SEMATECH, a government-industry research consortium formed in 1987 to further semiconducter manufacturing technology and enable the U.S. semiconducter industry to regain world manufacturing leadership, focusing on its: (1) progress in achieving its technological objectives; and (2) efforts to transfer the resulting technology to its 14 member companies.

GAO found that: (1) SEMATECH was generally satisfied with its overall priorities, progress, and management; (2) two SEMATECH projects with principal U.S. suppliers were behind schedule, but it was unclear whether those companies would generate sufficient equipment sales to become competitive in the world market; and (3) member companies gained useful technology and know-how from SEMATECH assignee, equipment improvement, and equipment qualification programs.